The International Financial Market Has Been Suffering From The 7 Year Itch Of "Blood Washing" A Shares.

Britain's "off Europe" storm swept across the globe, and international financial markets suffered bloodbath.

With that, the renminbi depreciated sharply against the US dollar. In such a miserable situation, China's capital market was "good at the scenery." in June 28th, the Shanghai Stock Index successfully recovered 2900 points.

When

When I staged a counter attack, I didn't know how many people still remember the same time 7 years ago.

From June 28, 2009 to June 28, 2016, the Shanghai composite index was almost unchanged at the same time as it is now, and it also hovered around 2900.

In the "seven year itch", we experienced two sharp rises in the stock market, and also experienced a cliff type fall. A stubble of "leek" was mercilessly harvested by the market. In the market, the "one earned two flat seven loss" law was also circulating.

The history of China's stock market has exceeded 25 years. However, it seems that there is not much money making effect except for the sharp rise in 2007 and 2015.

In the long run, the A share fall is much longer than the rising period, which is the source of the so-called "short bear length".

In the eyes of professional investors, the A share's misfortune stems from the short bear's long bear.

The sense of misfortune of the ordinary investors is more direct. After the hardship of wealth, there are psychological problems such as melancholy, anxiety, compulsion and even paranoia.

Chinese investors are "hyperactive", and the Chinese people are also fond of "hyperactivity".

And looking back, we are

This is often seen in the pition. The capital is rising and falling, and the stock market is soaring.

In such a "toss", although the fund earned money, but the people did not benefit.

Data show that, although 7 years,

Back to the origin, but equity funds easily won the Shanghai Composite Index.

Take China business fund as an example, there are 2 equity funds set up before June 28, 2009, leading enterprises and Chinese businessmen to grow up. In this period, the cumulative yield of 2 funds reached 115.33% and 153.54% respectively.

In this way, the investment ability of public funds seems not bad, but why is the income of the foundation poor?

Because although the net value of the fund was higher in October 2007, the number of fund units was relatively small, and when the market went down, the net value of the fund was relatively low, and the number of fund units was relatively large.

As a result, the total investment is actually composed of a large number of low price units and a small number of high priced units, making the average net value of each unit lower than the net value of a single investment, effectively reducing the risk of loss.

We can not predict the performance of A shares in the next 7 years, but we can start to vote for the next 7 years. Maybe 7 years later, you will be grateful for today's decision.

For the A share market, for the general fund, it is better for the general fund to invest honestly, comply with the discipline of regular investment, smooth the fluctuation of the stock market, overcome the greed and fear of human nature, and diversify investment risks with time, so as to get a good long-term return.

Looking back at the 7 years of the market, if the fixed investment is high, the number of investment is not large, and the proportion of total cost is not large. On the contrary, the bear market is longer and the share of low cost accounts for a relatively high proportion.

This means that once the market falls sharply, the market may fall by 20%, but your net value may only lose 1%.

Even if it starts at 6000, it will be possible to make money at 1600.